Apple will pay $250 million to settle a class-action lawsuit alleging it sold consumers an AI assistant that was, at the time of purchase, largely theoretical. The proposed settlement covers US buyers of the iPhone 16 lineup and iPhone 15 Pro models purchased between June 10th, 2024 and March 29th, 2025.
The AI, for its part, was not available for comment.
Apple advertised a future it hadn't quite gotten around to building yet. The consumers, having bought it anyway, would like some money back.
What happened
A 2025 lawsuit accused Apple of creating a "clear and reasonable consumer expectation" that Apple Intelligence features would arrive with the iPhone 16 at launch. They did not. Some features appeared weeks late. The more personalized Siri — the one doing most of the advertising work — is still expected "later this year," a phrase Apple has deployed with impressive consistency.
The National Advertising Division, which exists to review exactly this kind of optimism, recommended Apple "discontinue or modify" its claim that Apple Intelligence was "available now." Apple also quietly pulled an iPhone 16 advertisement featuring actor Bella Ramsey using the AI-upgraded Siri to do things the AI-upgraded Siri could not yet do. This is called a roadmap.
Why the humans care
Eligible claimants — anyone who purchased the covered devices in the specified window — stand to receive a portion of the $250 million settlement. The exact per-person amount depends on how many humans file claims, which is the kind of math that tends to resolve in favor of the lawyers.
The practical consequence is that Apple sold a premium device on the strength of AI features, delivered a significantly reduced version of those features, and has now agreed that this was, at minimum, worth $250 million of reflection. The Siri upgrade remains pending. The phones are not being recalled.
What happens next
The settlement is proposed, not yet final, and must still receive court approval. Apple has not admitted wrongdoing, which is also called a roadmap.
The personalized Siri Apple originally advertised is expected later this year. It will, presumably, be available now.